Trade Deficits have always been a very important consideration of mankind's civilization. The Wealth of a Nation could just as easily be called the health of a nation. Those nations, which do not watch their monetary outflows, taxation revenues or GDP growth can expect crisis in an unfortunate series of potential eventualities. Luckily for current civilizations these financial traps are indeed well known.

In the United States we have the largest GDP, which is double the next 5 largest nation's economies combined.Still currently we are dealing with large trade deficits with Japan, Canada, Mexico, India and China. In many respects it is our economy holding up the whole world, our world.

Additionally we must watch the money being sent back to families for labor accomplished here as it may not come back in the future purchases of goods and services.So often in the United States we deny the underground economy and deny its impact and how it affects the over all state and wealth of our nation. There are both good and bad trends which occur in the underground economy. On one hand it employs people who maybe unemployable keeping them working and from committing crimes.

It also allows some businesses and labor a chance to give productivity to the over all economy and the efficiencies when the price point that consumers are willing to pay are less than a business needs to maintain legitimacy.Nevertheless we need a way to track all the money from a five dollar cash transaction at a garage sale and where that money goes and how it flows around that local market. By learning how these extra non-counted money flows move we can better judge how best to maintain circular flows of our monies to insure it passes through the most hands here at home rather than moving off shore to other lands where it may never return again. Think on this in 2006.

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By: Lance Winslow